Non-Resident Speculation Tax Collected
April 21, 2017 to November 17, 2017
Current release:
Previous releases:
- January 1, 2020 to March 31, 2020
- October 1, 2019 to December 31, 2019
- July 1, 2019 to September 30, 2019
- April 1, 2019 to June 30, 2019
- January 1, 2019 to March 31, 2019
- February 17, 2018 to December 31, 2018
- November 18, 2017 to February 16, 2018
- April 21, 2017 to November 17, 2017
On April 21, 2017, the Province introduced a 15 per cent tax on the purchase or acquisition of an interest in residential property located in the Greater Golden Horseshoe Region (GGH) by individuals who are not citizens or permanent residents of Canada or by foreign corporations (foreign entities) and taxable trustees. The Non-Resident Speculation Tax (NRST) applies in addition to the general land transfer tax in Ontario.
Specifically, the NRST applies on the transfer of land which contains at least one and not more than six single family residences. Examples of land containing one single family residence include land containing a detached house, a semi-detached house, a townhouse or a condominium unit.
This report is based on the NRST collected on applicable transactions. The table in this report is for payments made to the Ministry of Finance between April 21, 2017 and November 17, 2017, and includes a breakdown of the NRST collected based on Land Registry Offices (LROs) in the GGH.
Note: The analysis from the previously released Provincial data (in relation to foreign transactions and activity) is based on the Additional Information Collection, and cannot be used to derive the NRST data in this analysis, as some foreign transactions may have been grandparented or exempt from the NRST. Therefore the amount of NRST collected should not be used to correlate or estimate foreign activity in the GGH. Refer to Appendix B for the differences between the NRST and the Additional Information Collection.
For more information on the NRST, refer to the Non-Resident Speculation Tax webpage bulletin.
Contents
- Non-Resident Speculation Tax Collected– GGH Region
- Endnotes
- Glossary
- Appendix A: Ontario – Land Registry Offices
- Appendix B: NRST and Additional Information Collection – Comparison
Non-Resident Speculation Tax Collected– GGH Region
April 21, 2017 – November 17, 2017
Note: The figures in this table reflect the total NRST paid to the Ministry. Therefore, these figures may include amounts that are currently subject to an application for a rebate or refund, or may (in the future) be subject to an application for a rebate or refund.
| Land Registry Offices (LRO)1 (LRO boundaries generally do not coincide with municipal boundaries) |
NRST Collected ($ millions) |
Total Number of NRST Payments |
|---|---|---|
| GGH Total | 132.6 | 1,080 |
| Durham | 1.2 | 14 |
| Halton | 6.3 | 41 |
| Niagara South & North | 2.9 | 45 |
| Peel | 10.1 | 80 |
| Simcoe | 0.9 | 11 |
| Toronto | 63.9 | 538 |
| Waterloo | 4.7 | 57 |
| Wellington | 0.4 | 4 |
| Wentworth | 1.8 | 24 |
| York | 39.9 | 261 |
| Other GGH Regions2 | 0.4 | 5 |
| Numbers may not add due to rounding. | ||
Endnotes
[1] Because some LRO boundaries do not coincide with municipal boundaries, the data may not fully represent what is covered in the GGH and may include areas outside of the GGH. Any discrepancy is expected to be insignificant.
[2] Brant, Dufferin, Haldimand, Northumberland, Peterborough and Victoria are combined due to low transaction counts.
Glossary
| Term | Definition |
|---|---|
| Additional Information Collection (Prescribed Information for the Purposes of Section 5.0.1) |
On April 24, 2017 the Province began collecting additional information to better understand trends in the housing market through the land transfer tax (LTT) system. This additional data will be used for the administration and enforcement of the Land Transfer Tax Act, and to support evidence-based policy development with respect to Ontario's real estate market. All persons who purchase or acquire land in Ontario that contains at least one and not more than six single family residences, or agricultural land, are required to provide this additional information. For more information, refer to the Prescribed Information for the Purposes of Section 5.0.1. |
| Approved institution | Means an institution that is approved under section 8 of Ontario Regulation 70/17 (Ontario Student Grants and Ontario Student Loans) made under the Ministry of Training, Colleges and Universities Act. |
| Foreign corporation | Means a corporation that is one of the following:
|
| Foreign entity | Means a foreign corporation or a foreign national. |
| Foreign national | As defined in the Immigration and Refugee Protection Act (Canada), is an individual who is not a Canadian citizen or permanent resident of Canada and includes a stateless person. |
| Full-time | For the purposes of the “international student” NRST rebate, means enrolled in at least 60 per cent (if the individual does not have a disability) or 40 per cent (if the individual has a disability) of what the approved institution considers to be a full course load for the academic year. |
For the purposes of the “working in Ontario” NRST rebate, means in respect of an employment position, a position that requires,
|
|
| Greater Golden Horseshoe Region (GGH) | Refers to the area of land comprised of the geographic areas of the following municipalities:
|
| Land Registration Office (LRO) | LROs are managed by the Ministry of Government and Consumer Services (MGCS) which allows persons to register and search official private property records using Ontario’s land registration system. |
| Land Transfer Tax (LTT) | The LTT is a broad-based tax imposed on persons acquiring land, or a beneficial interest in land, in Ontario with few exceptions. LTT is payable to the Province when the transfer is registered under the Land Titles Act or the Registry Act, as applicable. If the acquisition in an interest in land is not registered, LTT is payable directly to the Province in respect of the unregistered disposition of a beneficial interest in land, within 30 days after the transaction closing date. |
| Nominee | Means a foreign national who is nominated under the Ontario Immigrant Nominee Program. |
| Non-Resident Speculation Tax (NRST) | The NRST is a 15 per cent tax on the purchase or acquisition of an interest in residential property located in the GGH by individuals who are not citizens or permanent residents of Canada or by foreign corporations (foreign entities) and taxable trustees. The NRST applies in addition to the general LTT in Ontario, and is effective as of April 21, 2017. For more information, refer to the Non-Resident Speculation Tax. |
| Permanent resident of Canada | Means a person who has acquired permanent resident status and has not subsequently lost that status under section 46 of the Immigration and Refugee Protection Act (Canada). |
| Protected person | Means a foreign national on whom refugee protection is conferred under section 95 of the Immigration and Refugee Protection Act (Canada). |
| Single family residence | Means a unit or proposed unit under the Condominium Act, 1998 or a structure or part of a structure that is designed for occupation as the residence of a family, including dependents or domestic employees of a member of the family, whether or not rent is paid to occupy any part of it and whether or not the land on which it is situated is zoned for residential use and,
|
| Taxable trustee | Means a trustee of:
|
| Teranet Inc. | A private corporation that is the exclusive provider of Ontario’s online property search and electronic land registration service. |
| Teranet Express | Teranet Express is a self-serve channel that allows customers to access the Ministry of Government and Consumer Services (MGCS) Land Registration Database and the Ministry of the Attorney General (MAG) Writs Database. This platform must be used to electronically access and complete the additional information collection form. |
| Value of the consideration | This term can generally be considered as the purchase price of the land (found on the agreement of purchase and sale). The “value of the consideration” is declared in the land transfer tax statements for electronic land registrations, or in the land transfer tax Affidavit which is required to be filed with the Land Registrar. However, the definition of the “value of the consideration” under the Land Transfer Tax Act is broad, and is not always limited to the purchase price stated in an agreement of purchase and sale. For example, the assumption of any liabilities (e.g. a mortgage), or outstanding encumbrances on the land (e.g. lien on the property) may also be included in the “value of the consideration”. |
Further Information
https://www.fin.gov.on.ca/en/bulletins/nrst
Appendix A: Ontario – Land Registry Offices
Appendix B: NRST and Additional Information Collection – Comparison
| NRST | Additional Information Collection | |
|---|---|---|
| Effective date | April 21, 2017 | April 24, 2017 |
| Grandparenting | NRST does not apply to binding agreements of purchase and sale signed on or before April 20, 2017 and not assigned to another person after April 20, 2017. | N/A |
| Geographic Area | Greater Golden Horseshoe Region (GGH) | Ontario |
| Type of Property | Land that contains:
|
Land that contains:
|
| Applicable Transferees (e.g. Purchasers) | The data will only show those who were subject to the tax (foreign entities, and taxable trustees);
|
All persons who purchase or acquire the applicable land (see above) in Ontario. This includes the following:
|
| Transferees Excluded or Exempt1 |
|
|
[1] In order to be eligible for an exemption from the NRST, the purchaser must meet all requirements (e.g. certification to occupy the land as a principal residence), and the land must be held exclusively by the transferee and their spouse (and potentially other eligible persons).
Note: For exclusions relating to trustees of mutual fund trusts, REITs, and SIFT trusts, the trustee must exclusively hold title (or must hold title with similar trustees or other eligible persons).
